Florida Senate - 2023 CS for SB 532
By the Committee on Banking and Insurance; and Senator Burton
597-02623-23 2023532c1
1 A bill to be entitled
2 An act relating to money services businesses; amending
3 s. 560.103, F.S.; revising the definition of the term
4 “control person” for purposes of ch. 560, F.S.;
5 defining terms; providing an effective date.
6
7 Be It Enacted by the Legislature of the State of Florida:
8
9 Section 1. Subsection (10) of section 560.103, Florida
10 Statutes, is amended to read:
11 560.103 Definitions.—As used in this chapter, the term:
12 (10) “Control person” means, with respect to a money
13 services business, any of the following:
14 (a) A person who holds the title of president, treasurer,
15 chief executive officer, chief financial officer, chief
16 operations officer, chief legal officer, or compliance officer
17 for a money services business.
18 (b) A person who holds any of the officer, general partner,
19 manager, or managing member positions named in the money
20 services business’s governing documents. As used in this
21 paragraph, the term “governing documents” includes bylaws,
22 articles of incorporation or organization, partnership
23 agreements, shareholder agreements, and management or operating
24 agreements.
25 (c) A person who holds any position named by the money
26 services business’s liability insurance coverage for directors
27 and officers, if the business has such coverage.
28 (d) A director of the money services business’s board of
29 directors.
30 (e) A person who directs the affairs of a money services
31 business or who participates in, or has authority to participate
32 in, the major policymaking functions of a money services
33 business, regardless of whether the person has an official title
34 or receives a salary or other compensation.
35 (d)(f) A shareholder whose name shares are registered in
36 the records of a corporation for profit, whether incorporated
37 under the laws of this state or organized under the laws of any
38 other jurisdiction and existing in that legal form, who owns 25
39 percent or more of a class of the company’s equity securities
40 For a money services business that is a corporation, all
41 shareholders that, directly or indirectly, own 25 percent or
42 more or that have the power to vote 25 percent or more of a
43 class of voting securities.
44 (e)(g) A general partner or a limited partner, as those
45 terms are defined in s. 620.1102, or a special partner who has a
46 25 percent or greater transferable interest, as defined in s.
47 620.1102, of a limited partnership, limited liability limited
48 partnership, foreign limited partnership, or foreign limited
49 liability limited partnership, as those terms are defined in s.
50 620.1102. For purposes of this paragraph, a special partner has
51 the same meaning as a person that has rights, powers, and
52 obligations similar to those of a limited partner, as defined in
53 s. 620.1102, in a limited partnership For a money services
54 business that is a partnership, all general partners, and those
55 limited or special partners that have contributed 25 percent or
56 more or that have the right to receive upon dissolution 25
57 percent or more of the partnership’s capital.
58 (f)(h) A member, as defined in s. 605.0102, who holds a 25
59 percent or greater membership interest in a limited liability
60 company or a foreign limited liability company, as those terms
61 are defined in s. 605.0102. As used in this subsection, the term
62 “membership interest” means a member’s right to receive
63 distributions or other rights, such as voting rights or
64 management rights, under the articles of organization For a
65 money services business that is a limited liability company, all
66 managers, and those members that have contributed 25 percent or
67 more or that have the right to receive upon dissolution 25
68 percent or more of the limited liability company’s capital.
69 (g) A beneficial owner of any legal entity referred to in
70 paragraphs (d)-(f). As used in this paragraph, the term
71 “beneficial owner” means each individual, if any, who, directly
72 or indirectly, through any contract, arrangement, understanding,
73 or relationship other than a revocable proxy, owns 25 percent or
74 more of the shares or stock interest, transferable interest as
75 defined in s. 620.1102, or membership interest of a legal
76 entity.
77 Section 2. This act shall take effect July 1, 2023.